XRP Price Rally Resumes, Could Surpass $1 This Time

XRP Price Rally Resumes, Could Surpass $1 This Time

The Blockchain Industry: Ripple’s Token Price Analysis

Introduction

The blockchain industry has been making significant strides in recent years, revolutionizing various sectors with its decentralized and transparent nature. One blockchain project that has garnered attention is Ripple, with its native token XRP. In this article, we will explore the recent price movements of XRP and analyze its potential for future growth.

Ripple’s Token Price Starts Fresh Rally

After experiencing a strong rally, Ripple’s XRP encountered a downside correction from the $0.9500 resistance level against the US Dollar. The price dipped below the $0.820 support zone and even briefly fell below $0.70. However, a low was formed near $0.6655, and XRP is now on the rise.

Unlike Bitcoin and Ethereum, XRP is showing resilience and has surpassed the $0.70 and $0.72 resistance levels. Currently, it is trading above $0.70 and the 100 simple moving average (4 hours). On the 4-hour chart of the XRP/USD pair, a key bullish trend line is forming with support near $0.760.

XRP Price Chart

Source: XRPUSD on TradingView.com

The immediate resistance on the upside is around the $0.8065 zone, which is close to the 50% Fibonacci retracement level of the downward move from the $0.9479 swing high to the $0.6655 low. If the price manages to break above this resistance, the next major hurdle lies near the $0.840 level. A successful break above $0.84 could potentially propel the price towards the $0.90 resistance, and further gains might even lead to a test of the $1 level.

Fresh Decline in XRP?

However, if Ripple fails to clear the $0.8065 resistance zone, it could experience another decline. The initial support on the downside is near the $0.75 zone and the aforementioned bullish trend line. Should there be a downside break and a close below $0.70, XRP’s price could extend its losses. In such a scenario, the price may retest the $0.62 support zone.

Technical Indicators

Let’s take a look at some technical indicators to gain further insights into XRP’s price movement:

  • 4-Hours MACD: The Moving Average Convergence Divergence (MACD) for XRP/USD is currently gaining momentum in the bullish zone. This suggests a potential continuation of the upward trend.
  • 4-Hours RSI: The Relative Strength Index (RSI) for XRP/USD is now above the 50 level, indicating positive sentiment in the market.

Summary

The blockchain industry continues to evolve, and Ripple’s XRP is at the forefront of this revolution. Despite facing a recent downside correction, XRP has shown resilience and is on the rise again. If it successfully clears the $0.8065 resistance zone, we can expect a bullish momentum to drive its price higher. However, failure to break this resistance may lead to another decline. As with any investment, it is important to closely monitor the market and consider various technical indicators to make informed decisions.

Major Support Levels: $0.75, $0.72, and $0.70. Major Resistance Levels: $0.8065, $0.84, and $0.95.